| A | B |
|---|
| gross domestic product GDP | The total value of the goods and services produced in a country in a given year. |
| standard of living | The level of material comfort as measured by the goods and services that are available. |
| inflation | general increase in the price of goods and services. |
| deflation | general decreaseint he price of goods and services. |
| budget deficit | government spends more on programs than it collets in taxes |
| national debt | total amount of money a government owes |
| budget surplus | government's revenue can exceed its expenditures. |
| business cycle | rise and fall of economi activty over time |
| prosperity | peak of economic activity |
| recession | economic activity slows down |
| depression | a deep recession that affects the entire economy and lasts for several years. |
| recovery | a rise in business activty after a recession or depression. |
